Sweden Tax Agency Explains Taxation of Dividends from Foreign Contractual Funds

The Swedish Tax Agency March 31 issued Statement No. 8-2192816, explaining the taxation of dividends from foreign contractual funds. The statement clarifies that: 1) liability for the payment of tax remains unchanged for obligations accruing from income tax or coupon tax; 2) the formal owner of a fund’s assets is entitled to dividends and liable for tax, for foreign contractual funds that aren’t securities funds or special funds; and 3) foreign contractual funds that aren’t mutual funds and lack a formal owner are considered co-owned, and shareholders with limited taxable liability are entitled to dividends and liable for taxes. [Sweden, ...